Jim L. Smith

Some time ago, I spoke to a group about organizational culture. Considering what is happening today it might be appropriate to present a few thoughts to a broader audience. Each person can determine how it might apply to their circumstances.

Almost all organizations set performance targets for departments and/or individuals to conduct their operations and to deliver products and services to their customers. Although managers attempt to ensure their processes can handle all the issues that may arise in their business, in today’s complex world, these processes often fall short.

Since change has been constant since the dawn of man, it might be reasonable to think that industrial management has the process institutionalized...but that simply is not the case, at least in many organizations.

As promised, we continue last month’s column with seven more principles for an organization to manage an important asset—their people.

With so much focus on customers, companies can lose sight of their most valued asset—their people—and the critical roles they play in the success of their organizations.  Organizations are the employees, and customer service and quality are dependent on these skilled, motivated people.

According to some studies, employee turnover can cost an organization about 33% of an employee’s total compensation, including wages and benefits. It also affects employee morale.